The African Export-Import Bank (Afreximbank) and its subsidiaries recorded a 30 per cent increase in net income to $534.7 million in the first half of 2026, driven by higher lending and growth in interest and fee income.

 

The bank disclosed this in a statement issued by Vincent Musumba, Communications and Events Manager, Afreximbank, on Wednesday, on the Group’s financial results for the six months ended June 30, 2026.

Musumba said the performance demonstrated the resilience of Afreximbank’s business model and its continued support for trade and economic development across Africa and the Caribbean.

According to the statement, total assets and contingencies increased by 7.8 per cent to $52.3 billion, compared with $48.5 billion as of December 31, 2025.

The growth was largely driven by increased lending, with net loans and advances rising by 5.7 per cent to $35.4 billion from $33.5 billion at the end of 2025.

The bank also reported an improvement in asset quality during the period. Its non-performing loan (NPL) ratio declined to 2.20 per cent in the first half of 2026 from 2.43 per cent at the end of 2025.

Afreximbank maintained a sound liquidity position, with liquid assets accounting for 13 per cent of total assets. The figure remained within the bank’s strategic target range of 10 per cent to 15 per cent.

Shareholders’ funds also increased to $8.5 billion from $8.4 billion at the end of 2025.

“The increase was supported by $534.7 million in internally generated profits and $13.9 million in new equity raised during the period,” the statement said.

Net interest income rose by 22 per cent to $1 billion from $840 million in the corresponding period of 2025.

Fee and commission income also increased by 15 per cent to $71.1 million, compared with $61.9 million in the first half of 2025.

The bank attributed the increase in fees and commissions to higher income from guarantees, letters of credit and advisory services.

“As a result, net income reached $534.7 million, representing a 30 per cent increase from $412.7 million recorded in the first half of 2025,” the statement said.

The bank’s profitability indicators also improved during the period.

Return on average shareholders’ equity increased to 13 per cent from 11 per cent in the first half of 2025, while return on average assets rose to 2.54 per cent from 2.22 per cent over the same period.

Operational efficiency remained strong, although the cost-to-income ratio increased slightly to 20 per cent from 19 per cent in the first half of 2025.

The bank attributed the increase to higher personnel expenses and persistent inflationary pressures.

Afreximbank also strengthened its funding position after the reporting period through a $1.5 billion dual-tranche bond issuance.

The transaction, described by the bank as the largest international debt capital markets issuance in its history, comprised a $750 million 5.5-year tranche and a $750 million 10-year tranche.

The offering was approximately two times oversubscribed, which the bank said demonstrated strong investor confidence and reinforced its capacity to support its strategic growth objectives.

Denys Denya, Afreximbank’s Senior Executive Vice-President, said the financial performance reflected the continued resilience of the Group despite a complex global economic environment.

“Our healthy balance sheet gives us the capacity to respond when markets are disrupted, while continuing to finance the trade, industrialisation and investment that underpin longer-term economic resilience,” he said.

 

Denya said the expansion of lending, improved asset quality and continued access to diversified funding had enabled Afreximbank to remain responsive to immediate economic challenges.

He added that the strengths would also support the structural transformation of African and Caribbean economies.